Once upon a time, financially responsible Americans looked forward to their Golden Years.
After years of saving money, retirement meant carefree time to spend with friends, enjoy hobbies or travel the world.
But now, according to a startling survey by Allianz Life Insurance Company of North America, “a remarkable 61% of Americans say they are more afraid of running out of money than they are of death.”
Even more remarkable — almost half of the respondents admitted earlier financial crises caused them to stop or reduce saving for the future.
And they have no specific financial plans in place to avoid seeing their worst fears come true.
It’s a psychological sign of these uncertain times.
It’s also an unsettling indicator of just how challenging preparing for a stable financial future has become.
After witnessing so much economic turbulence sweep the nation over the last decade, many baby boomers (59–77 years old) find themselves concerned about America’s economic future.
But boomers aren’t the only generation feeling the pinch…
According to the Allianz survey, Gen Xers (43–58 years old) and Millennials (27–42 years old) are even more anxious than older folks.
67% of Gen Xers said their income isn’t growing fast enough to keep up with the rising costs of living we’re all experiencing. And 64% said they don’t believe they’ll have enough saved to retire.
Millennials, on the other hand, still have “plenty of time” to save and prepare. But like the Gen Xers, many may not be able to save enough to keep up with the crushing costs of inflation. And many have no plan in place to protect what wealth they do manage to set aside.
Regardless of age, income or experience, the Allianz survey results show…
Almost 40% of Americans “admit their retirement strategy is derailed and they aren’t sure when or how they’ll get back on track.”
What’s the problem?
The study cites “inflation, market volatility, financial crises, fears of bank failures and other challenges.”
And to make matters even more challenging, at least 56% of Americans only have a basic 401(k) or IRA. Which leaves them vulnerable to inevitable market turbulence and its effects on their accounts’ long-term performance.
Even fewer have taken deliberate, planned steps to help protect their wealth from future economic uncertainties.
Kelly LaVigne, Vice President of Consumer Insights at Allianz Life, states, “From financial crises to politics to the pandemic, we all have reason to wonder what else might be just around the corner. That’s why it’s so important to have a written financial plan … that also includes risk mitigation strategies to protect you from the inevitable rough patches.”
But the economic uncertainty is so overwhelming for many people that they’re not focusing on their financial future… Instead, it’s all about getting by in the near term.
This is understandable.
After all, it’s difficult to plan for an unknowable “someday” when immediate financial concerns are staring you in the face.
But it’s important to plan ahead, because…
America’s future includes possible economic challenges that may make saving and retirement planning that much more difficult.
For example, the value of the US dollar:
Most people aren’t aware just how far the purchasing power of their dollars has dropped or how fast it’s still falling.
Every dollar you saved since 2000 has lost 44% of its value…
And as the government continues to borrow, print and spend, the devaluation may only increase. At the same time, continuing inflation may increase the basic costs of living.
This means relying solely on savings to cover future living expenses may be problematic.
But what about Social Security — the government fund in place to take care of older Americans who “paid their financial dues” over the years?
Well, according to US Budget Watch 2024 — a project of the nonpartisan Committe for a Responsible Federal Budget — Social Security is in big trouble.
Their official data shows the Social Security retirement fund will go bankrupt by 2033. And unless the government steps in to fix the fund, annual benefits will be slashed by $17,300 or more for newly retired dual-income couples.
All of this taken together paints an uncertain vision of the future for the unprepared.
Especially since Americans are living longer. And the longer we live, the higher the statistical probability of a major health crisis, increased geopolitical turmoil, more lost purchasing power and other economic crises.
“The key takeaway here is that the new retirement reality requires everyone, now more than ever, to have a plan and stick to it. The good news is, even in these uncertain times, proper planning will go a long way toward securing your retirement goals,” says Allianz’s LaVigne.
We here at Gold Alliance agree. And we believe an important part of that proper planning includes protecting your wealth with gold now — before the inevitabilities of an uncertain economy affect your financial future.
Which brings us to the good news:
As you may know, gold can act like insurance for your money because its price tends to rise as the value of the dollar falls. Gold can help preserve your purchasing power as the dollar continues to lose value due to government printing. And, held long-term, gold may even help you grow richer as the value of your holdings increases.
This makes owning gold a crucial strategy for financially responsible Americans.
But perhaps more importantly, from the widest perspective, gold’s greatest value is its ability to help alleviate fears of running out of money before you run out of years.
And for anyone near retirement or just beginning to enjoy their Golden Years, that kind of financial peace of mind is priceless.
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If you’re worried about running out of money before you run out of years and you’d like to know more about protecting your wealth with gold, click here for a Free Gold Information Kit. Or dial 888-529-0399 to speak with an experienced Gold Specialist who can answer all your questions and help you understand your best gold diversification options.
